What is the net present value or npv of the project

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Question 1: A project to reduce cost at ABC ltd has been proposed.it will require a cash outlay of £800,000 and the project will generate cost savings £300,000 in year 2 and in £600,000 in year 3.the company's cost of capital is 8% . What is the net present value (NPV) of the project?

Select one:

£66,530 negative or £7,250 negative or £66,530 positive or £7,850 negative

Reference no: EM132501032

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